US Industrial Sector
US Industrial Sector, Strong indicators of expected and solid growth appeared in the US manufacturing sector, as the productivity of US factories rose during the third consecutive month in September of this year,
and this growth was supported by strong investments,
specifically in commercial activity, and also increased demand for consumer goods.
Topics
New data
External pressure
Oil and gas
New data
In data issued on Tuesday by the US Federal Reserve, it revealed the congruence in production rising by about 0.4%,
which is the same level it achieved in August,
in addition to the significant increase in total manufacturing by about 0.4% in September,
including other activities such as utilities and mining
As for the domestic demand for goods,
it fell in general with the shift that appeared in consumer preferences along with stubborn inflation,
while the report clarified the extent of the strong and increasing demand for cars,
clothing, and appliances, which indicates the possibility of commercial investment returning to steadfastness and contributing to supporting manufacturing activities and factories.
External pressure
In the future, fears appear clearly and also grow regarding the strength of the economy as well as consumer spending and the extent of readiness for this, and this comes at a time of great pressure on external demand,
in addition to a significant deterioration in the global economic situation,
and the strong US dollar, which increases the cost of goods
Expectations indicate an increase in factory productivity by about 0.3%,
with a total of 0.1% in industrial production,
while the Federal Reserve reports showed an increase in the production capacity of factories to 80%,
which is the highest level since 2000, also indicates a significant decline in labour pressures and also on the supply side.
Oil and gas
The output of utilities decreased by 0.3%, while mining activity rose by 0.6%, and this came with the support of oil and gas extraction activities, while drilling operations on oil and gas increased by about 1% to continue achieving its strong gains.
But the data released on Monday of this week also indicates a decline in industrial activity in New York State during the current month, and thus it will be the third month in a row, while opinion polls indicate a state of pessimism about the future work environment and new measures will be taken in the rest of the branches.